CHAPTER I

INTRODUCTION
INTRODUCTION

The motives behind the economic liberalization in 1991 in India were

market expansion and augmenting local and foreign investment. The main
investigators took the form of import tariff reduction, market deregulation, tax
reduction and increase in foreign investment. In 1990 and 2000s the
liberalization became an inevitable component of economy because of its
ability to contribute significantly to the economic growth. The high economic
growth increased the propensity to consume among the customers which was
the main motivator of online purchasing of the Indian customers.
Thesignificance of liberalization and globalization is a mandatory growth of
Indian economy (Pallavi and Pratima 2012). They issued a warning note that
unlimited liberalization and globalization will leads to unnecessary muddle but
to understand to what extent they are beneficial to the economy, they may have
to be practised. The mentality of customers to buy only in traditional method
was replaced with an intention to buy online. This was a result of the influence
of lifestyle that improved owing to the economic growth of the country.

Online shopping

The online shopping concept become very popular among the

consumers due to the convenience, availability of varieties and quality
attributes in the product. Due to increase in internet literacy, the hope of online
marketing is also increasing in India. Online shopping is also alternatively
called as e-web-store, e-shop, e-store, Internet shop, web-shop, web-store,
online store, online storefront and virtual store. An online shop evokes the
physical analogy of buying products or services. Perception towards online
shopping and intention to shopping online are not only affected by ease of use,
usefulness, and enjoyment.

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exogenous factors like consumer traits, situational factors, product
characteristics, previous online shopping experience and trust in online
shopping Benedict(2001). This serves as an opportunity for the retailers to
attract customers through some form or the other and also helps in retaining
the customers from moving due to lack of online operations. Ease of use,
Satisfaction, Security/Privacy, and Proper Service are the dominant factors
that influence the perceptions of consumers.

Consumer’s needs and expectations

Online shopping attitude refers to consumer’s psychological state in

terms of making purchases on the Internet. There have been exhaustive
studies of online shopping attitudes and behaviour in recent years. Most of
them have attempted to identify factors influencing or contributing to online
shopping attitudes and behaviour. The rapid growth in internet usage has
brought about a paradigm shift in the way things are done and perceived. The
Internet and worldwide web have dramatically changed the way consumers
seek and use information. The Internet, which was earlier conceptualized as a
tool for enchasing information, has become an important place of business
these days. For businesses, the key to survival in the future depends on how
well they can integrate this medium with their business model today. The
customers’ preferences, attitudes and perceptions need to be taken care of by
the online sellers to flourish their business. Consuming habits have undergone
tremendous change over the years after independence. The rising disposable
income of the middle class emphasizes more on spending than on saving
which is a new concept in Indian culture. A marked increase in the number of
consumers who purchase over the Internet, as well as an increase in sales
worldwide conducted via electronic commerce. Innovation and electronic
commerce relationships have resulted in tremendous changes in market
competition among various industries Blosch [Link] (2004).

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Consumer’s psychology towards online shopping

Through on-line shopping, business houses have been able to reach out
to more customers, even customers living in remote areas at less cost, a real
time epitome of global village. Moreover the inventory management
overheads also decrease significantly through online shopping. The online
shopping has not only benefited the business houses but also the customers.
As against the limited choice of products in as retail store, a customer can
visit number of stores online with wide display of products. Hence, online
shopping provides unlimited choices to the customers in nut shell. It
encourages 24 x 7 shopping. This also helps in customers’ time and energy
saving. Moreover because of unlimited choice and less excess time, customers
can easily search for the desired things and can easily compare the products
and items. Online shopping features can be either customers’ perceptions of
functional and utilitarian dimensions like “case of use” and “usefulness”, or
their perceptions of emotional and hedonic dimensions like “enjoyment”
Math wick et al., 2001.

Expansion of shopping options

Nothing comes without a cost in business; on-line shopping is not an

exception to this. As customers have unlimited choice, they may fall a victim
to over choice. Customers may spend a good amount of time without taking
any final decision, but the biggest disadvantage since the inception of the
online shopping context is that there is tangibility complications involved in
online shopping. Apart from product cost, transaction cost is also very
important. Therefore, it is very much possible that customer Impact of
demographic factors of consumers on online shopping behaviour purchases
from internet by just looking at price, but ultimately may land up paying more
due to transaction cost. Thus, these extra costs become very crucial in online
shopping. Other important issue is that one of the major options to purchase

3
from Internet is through credit cards. However, it is quite possible that
customers may fall victim due to security and privacy problems on the
Internet.

Online shopping preference

Increasing numbers of people are gravitating towards more intensive

use of the Internet as the accessibility of technology, availability of
information and the ability to interact through the Internet increase and
evolve. Obvious capabilities of the Internet include avenues for gathering
information, purchasing a product or rendering a service. These advances in
Internet technology allow for the expansion of shopping options beyond
traditional methods. Mostly youngsters were emphasized to go for online
shopping (Shanthi and Desti 2015). Severe transformation seems to be
occurring in shopping trends of customers due to changing lifestyle of
customers. The study also significantly stated that the youngsters provide a
great platform for the growth of online shopping if concentration lies upon
tastes and preferences of youngsters. Based on this it can be understood that
lifestyle influences online shopping behaviour and also there is a potential for
online shopping in future, hence, the present study becomes important.

Attitude of consumers in the present scenario

The concept of electronic buying and selling has increased swiftly in

the recent years as a result of the development of internet. E-Commerce has
grown very fast because of many advantages associated with buying on
internet because of lower transaction and search cost as compared to other
types of shopping. Online shopping enables quick buying, with more
alternatives available in terms of products and services. Price comparison
along with varieties is available which is not possible in physical buying of
products. Anytime, anyplace buying across the globe is possible through

4
online transactions. The necessity to carry cash has come down. Thus it
avoids the problem in huge money transactions while shopping.

Consumers however, are influenced by their attitude and lifestyle in

making their online buying decisions. The customers who are unable to have
access to internet or lack internet knowledge are deprived of the benefit of
online shopping. However, customers who have these knowledge and
awareness enjoy the entire benefits of online shopping. Moreover, the impact
of media is not limited to television, mobile apps and many more are more
widely accessible to people these days. Therefore, the offers through online
shopping are right before the customers at all times. This stimulates the
customers to try online purchases and when they experience a comfortable
purchase they intend to make more purchases. However, the notable factor is
that as the customers are influenced by the positive factors like convenient
purchase, wide variety online and comparison of products. Sometime, they
are influenced by the negative factors like damaged during delivery, delay in
delivery and payment problems.

The attitude of the customers change towards online shopping based on

the experience that they undergo with the shopping made. The buying
capacity and the lifestyle or exposure enjoyed by the customers also
influences the online shopping behaviour of customers. The largest of these
online retailing corporations to name a few but not restricted to are Snap deal,
Amazon Flip kart, eBay, and Jabong. Retail success is not restricted to
physical stores alone as the retailers are themselves now offering online store
interfaces for consumers in addition to their existing style of business.

Lifestyle of consumers towards online shopping

A highly challenging lifestyle is convincing consumers to adopt online

shopping as a substitute to traditional retailing worldwide. In order to save
time and money, people are motivated to purchase products and services

5
online. Companies are investing intensely on technology to make best use of
internet as the shopping channel. There is hardly any product, service or
commodity which is not being sold through internet. Most of the consumers
were willing for adopting the internet shopping for purchasing their household
size and innovative according to their preference based on their income level
(Sultan and Henrichs 2000).

A recent study covering 38 markets and over 21,100 respondents

across the globe has revealed that more Indians are taking to shopping online.
It suggested an upward trend in online shopping across the world. A
significant observation of this study was that India beat the global
counterparts in number of purchases per month, with a mean of 5.2 purchases
against the global average of 4.9. In India, books followed airline reservations
closely, with 35% of citizens buying them online. Nearly 24% have bought
electronic items and more than 20% have purchased items such as apparel,
music and electronic entertainment such as movies, DVDs and games. The
most favoured mode of payment for online purchases in India is the use of
credit cards followed by cash-on-delivery. Online shopping in India is poised
for greater acceleration as more manufacturers and providers integrate the
Internet into their sales model. As PC and internet penetration grows, the key
to increasing online purchases will remain in the hands of marketers in India
(AcNielson 2009).

The Lifestyle of individuals has always been of great interest to

marketers. They deal with everyday behaviorally oriented facets of people as
well as their feelings, attitudes, interests and opinion. A lifestyle marketing
perspective recognizes that people sort themselves into groups on the basis of
the things they like to do, how they like to spend their leisure time and how
they choose to spend their disposable income.

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 The lifestyle concept was introduced by Bell (1958), Rainwater, Colemanand
Handel (1959), and Havinhurst and Feigenbaum (1959) as close to 1950s, pointing to
its potential significance in understanding, explaining and predicting consumer
behavior.

William Lazer introduced the concept of lifestyle patterns and its relationship
to marketing, in 1963. He defined lifestyle pattern as a systems concept. It refers to a
distinctive or characteristic mode of living, in its aggregate and broadest sense, of a
whole society or segment thereof... The aggregate of consumer purchases, and the
manner in which they are consumed, reflect a society’s [or] consumer’s lifestyle

1.1 STATEMENT OF THE PROBLEM

The liberalization and Globalisation of Indian economy invited wide variety of

products available in online as well as off line shopping. In this situation of busy
world consumers intended to purchase the product from the place of domicile.

The present business environment has made a vast change in the shopping
behaviour of all irrespective of age, gender, income, occupation etc. The
consumption pattern and buying behaviour of consumers has undergone a drastic
change with the rapid change in technology. The present competitive environment
and changes in technological development has a greater effect on the lifestyle and
attitude of consumers who prefer online shopping. This study attempts to focus on
the changing attitude and lifestyle of consumers in Chennai city.

1.2 NEED OF THE STUDY

Online shopping has become a major part of everyone’s life. Peoples’ attitude
and lifestyle has brought a lot of change in the online shopping behavior. Everything
is possible to be bought online these days. The capacity of people have changed lot in
terms of financial strength, knowledge about online buying and internet usage, ease of
shopping and many more reasons. However this dynamic change in shopping,
demands the need to study about its consequences and outcomes. Online shoppers
differ in terms of attitude.

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lifestyle, buying capacity, buying intention, perception and many more
factors. Each of these factors is also very different in people of different
countries. In India online shopping has started to increase and is showing is
consistent increase in recent days. But it is not very clear as to the main factor
that contributes to the increase, decrease or fluctuation in the online shoppers’
behaviour. This is one major reason that has kindled the researcher to
undertake this study. Though, certain studies exist on online shopping
behaviour, in context of attitude and lifestyle especially in Indian scenario is
very scanty, this study will serve as a lead to several future studies in a new
direction.

The attitude of the customer is the major reason that influences the
online shoppers’ behaviour. Moreover, attitude is the reason for several
behavioural changes or reasons as per proven behavioural studies. This study
also finds a craving need to find the relationship between attitudes of the
customer in making a purchase online, and has made an attempt for the same.
Similarly, the behaviour of any aspect like buying, concept of buying, nature
of products being bought, pattern of buying, affordability are several aspects
related to lifestyle that influences the online shoppers’ behaviour. So, the
researcher justifies the need to study the attitude of customers towards online
shopping behavior which thereby gives way to study the changes in attitude of
customers in online shopping. And in addition the changes in lifestyle of
customers also need to be studied with respect to the online shopping
behaviour due to the increased purchasing power of the customers. The whole
thing demands this attraction as an aspect of present days’ research due to the
increased access to internet by customers largely.

1.3 IMPORTANCE OF THE STUDY

The study is very significant in present scenario owing to the need that
prevails in the challenging retail selling because of the increased online

8
shopping activity in comparison to manual shopping. Online shopping has
touched all spheres of selling products as well as services. It is also an
affordable activity by people of all classes based on their buying capacity and
their need for buying online. Customers buying online behave differently at
different times. They seem to differ in their behaviour by buying more due to
the good experiences they experience or they buy less due to the problems
that they face. To derive and state the fixed pattern of online shoppers’
behaviour and thereby the reasons for their behavior it is very important and
hence the attempt of this study.

The study has been done in Indian scenario which will give
suggestions to the Indian retail sector based on online shoppers’ behaviour.
This will help the retailers and markets in their decision making regarding the
retail sector. The decisions made from this study will benefit the society in
large.

1.4 OBJECTIVES OF THE STUDY

To study the attitudinal changes among the consumers of online

shopping.

To determine the lifestyle dimensions of online shopping

consumers.

To find the relationship between the attitude and lifestyle of online

shopping consumers.

To measure the influence of demographic variables of online

shopping consumers on their attitude and lifestyle.

1.5 HYPOTHESIS

There is no relationship between the attitude and lifestyle of

online shopping consumers.

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 There is no influence of demographic variables on attitude of online
shopping consumers.

There is no influence of demographic variables on lifestyle

dimensions of online shopping consumers.

The factors of lifestyle dimensions do not differ significantly.

There is no significant difference among the factors of consumer’s

attitudes towards online shopping.

There is no significant influence of lifestyle dimensions of

consumer attitudes.

1.6 SCOPE OF THE STUDY

In this research work the researcher intends to analyse the changing

attitude of consumers and why they prefer online shopping in place of
traditional shopping. The researcher also examines how the lifestyles of
consumers undergo changes in relation to online shopping. The researcher
also concentrated on the merits and demerits of the online shopping and how
these variables influence the attitude of consumers towards online shopping.
In the current scenario where almost all the people are highly time conscious
because of their busy work schedule they search for the best avenues for
shopping where they get more varieties, branded products, reasonable price in
a very limited time. Hence the researcher has conducted a study to analyse the
changing attitude and lifestyle of online shopping consumers in Chennai.

1.7 LIMITATIONS OF THE STUDY

The present globalised market scenario paves way for shopping

anywhere and anytime using e-stores. Though online shopping could be done
anytime, access to internet plays a dominant role in such shopping. When
compared to other cities of India network and signal problem will be less in

10
metro cities. Hence the study is restricted to Chennai and only the changing
attitude and lifestyle of the online shoppers are covered under this study.
Because of time constraints, the sample size of the study is also limited to
0.1% of the total population in Chennai who prefer online shopping.

1.8 METHODOLOGY

In securing the most effective results from the present study, a

methodology has been framed in relation to the area of the study, products
covered in the study, data collection, sampling, hypotheses and statistical
tools.

1.8.1 Sources of Data

The primary data is collected from the respondents on the basis of their
attitudes and lifestyle to different thought provoking insights relating to the
concepts of brand equity, contained in the well-defined questionnaire. The
sources of secondary data comprises of books, journals, periodicals, reports,
theses and websites.

1.8.2 Sampling

Sample Selection

To make the sample more balanced relating to lifestyles occupation,

gender, cultural and socio-economic status of Chennai residents viz.,
Government employees, Private employees, Businessman, Self-employed,
Housewives and students, a stratified random sampling technique has been
executed. All the 10 zones of Chennai Corporation are taken up for the study.
From each zone 5 streets are identified and from each street 11 customers are
selected.

(10 Zones x 5 Streets x 11 Customers = 550)

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Sample Size

The require number of sample to conduct the research is identified

through the formula particularly large and unknown population.
2
Z PQ
n=
B2

Z = Confidence limit = 1.96

P = 0.5 (Proportion for unknown Population)

Q = 1-P = 1 – 0.5 = 0.5

B = 5% error of appropriation (or) significance level

5% = 0.05

2
(1.96) ( 0.5) (0.5)
n=
(0.05) 2

3.8416 x 0.25
n=
0.0025

n = 384.16

Since the formula indicates 385 is the required sample size. The
researcher collected 540 samples from the unknown population which is more
than the required sample size. Hence the sample size is justified.

1.8.3 Questionnaire Design

The primary data are collected through survey method. Survey is

conducted using well formulated questionnaire. Samples for the purpose of

12
the study are selected systematically. Totally 550 questionnaires were
distributed and 540 were completed questionnaires were found usable.

1.8.4 Sample Collection

An undisguised, structured and close ended questionnaire with

dichotomous and multiple choice questions is prepared. A pilot study has
been conducted on 100 respondents to make the questionnaire empathetic and
sympathetic.

Hundred statements have been selectively formulated from the

literature survey to facilitate the respondents in perceiving the concept of
brand equity relating to various fundamentals and sources cited above with
regard to personal care products with seven point scale. The reliability and
validity tests are used to secure conformity of the statements given to the
respondents. The reliability is obtained through Cronbach Alpha Model and
validity by Hotelling’s T-Square test. The following table exhibits the
computed value relating to validity and reliability.

1.8.5 Sampling Procedure

The total population of Chennai City during 2015 is 8 million and the
online shopping consumers amount to 6.75%. As per the statistics it is noted
that 5, 40,000 people are doing shopping through online shopping during the
year 2015. Hence the researcher works 0.1% as sample size of the total
population i.e. 540 samples.

1.8.6 Questionnaire Formulation

In this period based on gaps in the literature the researcher formulated

the questionnaire. The questionnaire consist of five parts among which

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 Part I deals with the demographic details of the online shopping
consumer.

Part II encounters the online shopping details of consumers.

Part III encounters the online shopping awareness.

Part IV deals with the lifestyle dimension of online shopping

consumers.

Part V of our questionnaire framed with the attitude, purchase decision

and customer satisfaction of online shopping consumers.

SCALING TECHNIQUE IN THE QUESTIONNAIRE

The questionnaire comprises both optional type and statement in

Likert’s 5 point scale. The response of these sections are obtained from the
customers of online shopping in the 5 point scale which range as follows

5- Strongly Agree 4- Agree 3- Neutral 2- Disagree 1- Strongly Disagree.

1.9 DATA ANALYSIS

The following statistical tools are exploited to analyse the following

data

1. Simple percentage analysis

2. Parametric t- test

3. Factor analysis

4. Cluster analysis

5. One – way analysis of variance

6. Chi square analysis of association

7. Linear multiple regression analysis

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1.10 CHAPTERISATION

Chapter I consists of introduction of the present study, need and

importance of the study, statement of problem taken up for the study,
objectives of the study, hypotheses, research methodology, sampling
procedure, limitations of the study and the chapter scheme.

Chapter II presents a brief study on various literatures relating to

online shopping consumers, attitudes, changing attitudes, lifestyle influence
on online shopping.

Chapter III gives a brief account of the conceptual framework of

various researches pertaining to the study of changing attitudes and lifestyle
of online consumers.

Chapter IV portrays a detailed analysis – II with the lifestyle of online

shopping consumers.

Chapter V gives a detailed analysis -I done in relevance to the

objectives to assess the changing attitude towards online shopping consumers
in Chennai city.

Chapter VI enlists the summary of findings, suggestions and

conclusion for the present study and the scope for the further research in
relation to the present study.

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 This chapter presents the research findings of national and
international pertaining to lifestyle dimensions and behaviour of online
shopping consumers. At first part the researcher presented reviews regarding
lifestyle perception of customers and second part encounters reviews
regarding customer attitude.

2.1 LIFESTYLE AND ATTITUDE OF SHOPPERS

Lifestyle – Definitions

Lazer’s (1963) model shows the linkage of lifestyle patterns and

values to purchase decisions.

Culture and Society

Group and Individuals

Expectations and Values

Lifestyle patterns and clues

Purchase Decisions

Market reaction of Consumers

Figure 2.1: Lazer’s Lifestyle Hierarchy Model

Lifestyle refers to a pattern of consumption reflecting a person’s

choices of how he or she spends time and money. In an economic sense, one’s

16
lifestyle represents the way one has elected to allocate income, both in terms
of relative allocations to different products and services and to specific
alternatives within this category.

Lazer (1963) studied “from one perspective, the aggregate of

consumer purchases and the manner in which they are consumed reflect a
society’s lifestyle”.

Wilson (1966) examined that housewives lived according to the

established behaviour and attitude patterns, which could be identified and
measured. He believed that these living patterns were related to other
behaviour of more direct economic importance such as product purchase and
media exposure.

Haley (1968) examined the segmentation whereby it was possible to

identify market segments by causal factors rather than by descriptive factors.
Haley strongly believes that the benefits, which people were seeking in
consuming a given product, were the basic reasons for the existence of true
market segments

Heller (1968) revealed different approach known as the attitude sphere

approach. This was a combination of product-specific lifestyle variables and
product- attribute-specific attitudes. Heller defined the term “Attitude sphere”
as “a group of attitudes which represent as many attitudes, beliefs and
behaviours as we can define to be related to the decision to buy or use a
product”.

Alpert and Gatty (1969) studied with a “Behavioural Lifestyle”

approach which was solely based on the behavioural pattern of product
purchase and use. They identified 25 behavioural lifestyle patterns from the
analysis of the subject’s consumption propensities of 80 different products.

17
Twenty-five behavioural lifestyle patterns were then correlated with heavy
versus light beer drinkers and with Y versus W brand beer drinkers.

Mitchell (1969) studied it as a macro social phenomenon or a distinct

trait of a society as a whole in a particular period of time. Using Maslow’s
hierarchy of motivation, Mitchell identified the developmental process of
society’s lifestyle and defined it as “Life way “William Lazer introduced the
concept of lifestyle patterns and its relationship to marketing, in 1963. He
defined lifestyle pattern as a “systems concept”.

Mathews and Slocum (1969, 1970) found a number of interesting and

useful relationships between social class and the usage of bank cards. For
instance, they found that “members of the lower social classes tended to use
their cards for installment purposes; upper classes for convenience.

Plummer (1971) indicated that all users had a favourable general

attitude towards credit; however installment users tended to use their cards
more frequently. Their study also indicated that “the upper classes are
generally favourable toward using credit to purchase luxury goods and the
lower class users tended to use their cards for durables and necessity goods.”

Wells and Tigerts (1971) analysed the “activities, Interests and

opinions” measure (AIO Measure), in order to operationally measure the
generalized lifestyle patterns. The AIO measure was designed to conceptually
cover whole areas of a human environment such as those of leisure, work and
consumption. The essential purpose of this study was to develop the
generalized lifestyle profiles of the heavy and light users of both eye make
ups and shortening. It was concluded in the study that variation of the product
usage rate were identifiable by the variation of the lifestyle variables. Wells
and Trigert both jointly and individually continued to use generalized lifestyle
variables in order to extend their lifestyle studies into diverse consumption
situations.

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 Feldman and Thelbar (1972) developed a lifestyle definition on the
basis of group phenomenon. They pointed out four distinctive characteristics
of lifestyle.

1. Lifestyle is a group phenomenon. A person’s lifestyle is not a

unique or individual pattern of behaviour. It is influenced by his
participation in various social groups and by his relationship with
others.

2. Lifestyle pervades many aspects of life. Knowing how an

individual behaves in one area of his life may allow us to predict
how he will act in other areas.

3. Lifestyle implies a central life interest. A distinct lifestyle is

evident when a single activity or interest pervades a person’s
other interests and unrelated activities, and

4. Lifestyle differs according to sociologically relevant variables.

Reynolds and Darden (1972) analysed lifestyle as a personal

construct system, which is the way each individual organizes and structures
his world in order to anticipate the events happening there.

Wells (1974) evaluated the disparate modes of living in a whole

society or any of its segments, including activity, interest opinions needs
values, attitudes and personality traits.

Pernica (1974) concluded similar to Haley’s. Based on the prediction

that personality and lifestyle variables had no significant correlation with a
person’s brand preference, they segmented the subjects on the basis of both
more generalized lifestyle variables and product benefits or buying
motivation. It concluded from the study that among a long list of lifestyle
variables, only a small number could be hypothesized to have a significant

19
bearing on the purchase of a specific product, that their effects on product
choice was indirect and that they were pictured through a set of consumer’s
specific choice criteria for the product.

Plumer (1974) examined lifestyle by emphasizing its behavioural

aspect. He compared the lifestyle construct with demographic, social class
and psychological variables. “The new construct, lifestyle patterns, combines
the virtues of demographics with the richness and dimensionality of
psychological characteristics and depth research. Lifestyle deals with
everyday behaviorally oriented facets of people as well as their feelings,
attitudes and opinions”.

Reynolds and Darden (1974) examined with this point when they
attempted to reconcile lifestyle construct with psychographics by applying the
theory of personal construct. Reynolds and Darden divided a person’s
multitude of personal constructs into non – consumer constructs and
consumer constructs. Consumer constructs deal with the communicating,
purchasing and consuming facets of a consumer.

Wind, Yoram and Green (1974) developed a conceptual framework

of lifestyle in relation to consumer behaviour. They considered lifestyle as
“made up of values and personality as reflected in activities, interests and
attitudes towards leisure time, work and consumption of person alone and
person with others.”

Villani (1975) evaluated and analysed that the television audience

segments were relatively heterogeneous at least in terms of lifestyle and
demographic characteristics.

Mehrota and Wells (1977) concluded within the groups there was a
similar lifestyle and each group represented a different pattern of needs for
consumption of products and services.

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 Crask and Reynolds (1980) examined lifestyle analysis examined the
differences between segments of people classified in terms of their print and
TV media exposure patterns. The four media exposure classes appear to have
distinctive lifestyle profiles”.

Urban (1980) attempted to predict overall magazine readership

utilizing both consumer - descriptive and behavioural variables.
Demographics, psychographics and activities were included in the former,
and overall media use-scores for TV radio, newspapers, and magazine were
included in the latter. He found that over 70% of the total variance in the
magazine readership could be predicted with a combination of demographic,
psychographic, media usage, television programme choice and magazine
choice variables. He also stated that psychographics dimensions (lifestyle)
were more important predictors for women than men and television
programme factors were more important for men than women.

Philip Kotler (1983) studied the lifestyle pattern as a system concept.

“It refers to a distinctive mode of living in its aggregate and broadest sense. It
embodies the patterns that develop and emerge from the dynamics of living in
a society. It is concerned with those unique ingredients or qualities which
describe the style of life, some culture or group and distinguish it from
others”.

Bates Sharkey (1985) conducted an experiment study in which he

related the attitudes of car buyers and buying habits instead of using only
demographics. He reported six lifestyle segments, namely

i. Auto – piles

ii. Necessity drivers

iii. Auto phones

iv. Auto cynics

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 v. Comfort seekers

vi. Sensible centrists.

He concluded that “the automakers may better understand consumers

when they look beyond simple demographics to segment markets”.

Lasser and Hughes (1986) conducted an experimental study to

provide a test of whether shopper types, defined by psychographic profiles,
could be generalized across geographic markets. They identified 17 distinctly
different shopper types across the 17 markets and of these, seven shopper
types were found in most of the markets. The seven types of shoppers were
labeled as inactive shopper, active shopper, service shopper, traditional
shopper, dedicated fringe shopper, price shopper and transitional shopper. The
findings also contributed to the development of market segmentation theory.

Agarwal, Mthukumaran and Sharma (1990) made an exploratory

study of the Indian urban youth market (people in 15 to 19 years age group,
living in towns and cities). The study used the model provided by Wind and
Green (1974), and they identified five sets of variables that could be included
to define a person’s lifestyle.

These were a person’s

a) Value system
b) Personality traits
c) Product and service consumption
d) Activities, interests, opinions (AIO’S) and
e) Attitudes towards product class or brands.

Verma and Hanspal (1997) examined the influence of buyer’s

lifestyle on his purchase behaviour. The study was carried out on middle class
consumers residing in various parts of Delhi. They identified seven dominant

22
lifestyle segments among the sample based on the AIO (Activities, Interest
and opinion) statements. They were

The stay at home traditionalist

The progressive provident

The social climbers

The security seekers

The Conservatives

The privileged

The Independents

Purchase behaviour of people representing each of the above lifestyles

was studied with reference to the following dimensions: interest in shopping,
Interest in trying new brands, seeking friend’s advice on the choice of brands,
preference for the store that back up the product guarantee and store loyalty.
The study revealed that the ‘Stay at home traditionalist’ and the Progressive
provident’ had no significant interest in shopping or trying new brands or
seeking the advice of their friends on what brand to buy or from which store
to buy. They were however, substantially store- loyal. This implies that the
retailer played an important role in the purchase made by people belonging to
the two lifestyles mentioned above. The ‘social climbers’ liked to shop and
frequently seek the advice of their friends regarding what brand to buy. They
had no significant interest in trying new brands, in patronizing any reliable
store or in being store- loyal.

Jain and Dhingra (1999) analysed the fashion lifestyles of young

females and identifying the underlying fashion lifestyle dimensions that could
be used as a basis of segmenting the young female fashion market and
profiling the identified fashion segments in terms of self-concept, general
lifestyle, shopping behavior and demographics of the segment members.

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 The ‘conservatives’ loved to shop and try new brands. They also
sought advice on brands from their friends and were significantly store- loyal;
but they showed no noticeable preference for stores that backed up their
products guarantee.

The ‘privileged’ tried new brands and patronized reliable shops or

stores, buy they showed no significant preference for the advice of friends on
which brands to buy or on being store- loyal.

The ‘independents’ who were mostly women, showed no significant

interest in shopping, in new brand trial, in seeking advice of friends on the
choice of a brand or a store. Since they had been associated with making
purchase decision for the family, there was a need for studying their purchase
behaviour closely.

Jain and Dhingra (1999) analysed the fashion lifestyles of young

females and identifying the underlying fashion lifestyle dimensions that could
be used as a basis of segmenting the young female fashion market and
profiling the identified fashion segments in terms of self-concept, general
lifestyle, shopping behavior and demographics of the segment members.

Lifestyle segmentation approach not only ruled out the major

disadvantage of lifestyle profile approach, but it was also consistent with the
theoretical position of the lifestyle construct and its relationship with
consumption behaviour. This theoretical framework of the relationship
required the research approach to identify a person’s lifestyle pattern before
relating it to the specific consumption behaviour, as a person’s lifestyle is an
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antecedent and more enduring construct than his consumption behaviour.

In the early 60’s although demographic segmentation had consistently

provided actionable consumer insights, market researchers felt that the
utilization of demographic variables had reached a point where it was time to

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